Ministry of Ecology and Environment: Preparations for the Expansion of the National Carbon Market Have Been Completed and Will Be Divided into "Two Steps" to Promote Orderly Market Entry

2025-03-24 11:47:28

On March 22, the "2025 (16th) Conference on High Quality Development of Iron and Steel" was held in Beijing. Lu Shize, deputy director of the Department of Climate Change of the Ministry of Ecology and Environment, said at the meeting that preparations for expanding the coverage of the national carbon emissions trading market have been completed in an all-round way, which will be promoted mainly from three aspects: orderly market entry in stages, reasonable control of quota gaps, and optimization and improvement of the statistical accounting system. Among them, orderly market entry will be divided into "two steps". The implementation stage is 2024-2026, and the deepening and improvement stage is 2027 and beyond. At that time, we will study the gradual and moderate tightening mechanism of the total quota and give full play to it.

On March 22, the "2025 (16th) Conference on High Quality Development of Iron and Steel" was held in Beijing. Lu Shize, deputy director of the Department of Climate Change of the Ministry of Ecology and Environment, said at the meeting that preparations for expanding the coverage of the national carbon emissions trading market have been completed in an all-round way, which will be promoted mainly from three aspects: orderly market entry in stages, reasonable control of quota gaps, and optimization and improvement of the statistical accounting system. Among them, orderly market entry will be divided into "two steps". The implementation stage is 2024-2026, and the deepening and improvement stage is 2027 and beyond. At that time, the gradual and moderate tightening mechanism of the total quota will be studied to give full play to the function of the carbon market.

For the overall consideration of the next expansion, Lu Shize said that it would be promoted mainly from three aspects: orderly market entry in stages, reasonable control of the quota gap, and optimization and improvement of the statistical accounting system.

Among them, orderly market entry will be divided into "two steps". The implementation stage is 2024-2026, with the main goal of cultivating market players and consolidating the basis of carbon emission management, and establishing the low-carbon development awareness of "carbon emission has cost, carbon reduction has benefit". The deepening and improvement stage is 2027 and beyond, comprehensively enhance the ability of all parties to participate in the market, study the gradual and moderate tightening mechanism of the total quota, and give full play to the function of the carbon market.

At the same time, in the future, quotas will be allocated based on the idea of intensity control, without setting an upper limit on the total amount of quotas and restricting the production of enterprises. In 2024, there is no quota gap for enterprises in all industries, and there is no need to pay the cost of performance. In 2025 and 2026, the overall profit and loss of the quota will be balanced. According to the "experience period" positioning, the gap will be controlled in a small range without affecting the development of the industry. After 2027, the policy will be gradually strengthened.

In addition, the Ministry of Ecology and Environment will also be guided by reducing the risk of data quality and reducing the workload of enterprises. On the one hand, it will insist on simplifying the complexity, focusing on the major emission sources, reducing the number of carbon emission accounting parameters and simplifying the accounting methods of carbon emission parameters; On the other hand, we insist on hierarchical and classified management, allowing enterprises with weak data quality management foundation and small emission scale to adopt default value calculation. Optimize the functions of the management platform to realize the functions of filling error warning, automatic calculation of parameters, and one-click generation of reports.

"In order to better play the role of policy tools to promote carbon reduction, the quota of the national carbon emissions trading market will be gradually tightened.". It is suggested that the iron and steel industry should start early and prepare early, actively promote the industry enterprises to improve production technology, develop low-carbon technology, reduce the level of carbon emissions of enterprises, realize the green and low-carbon development of the industry as soon as possible, and lay a good foundation for entering the national carbon emissions trading market. Lu Shize said.

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